ENG-2000 — Page 147

COMMERCE AND INDUSTRY

Council of Advisors on Innovation and Technology

The Council of Advisors on Innovation and Technology (CAIT) is a high-level standing advisory body reporting directly to the Chief Executive. Its role is to advise and make recommendations to the Chief Executive on matters relating to innovation and technology so as to optimise their contributions to Hong Kong's economic development.

The CAIT was established in April and comprises a total of 17 members; 15 of them are non-official members mainly from the business and academic sectors, either locally or externally. All are experts in their respective fields covering finance, economics, electronic engineering, telecommunication technology and services as well as biomedical engineering. Four Special Advisors have also been appointed to provide expert advice to the council and its committees. These Special Advisors are world-renowned experts in their fields.

The Secretary for Commerce and Industry and the Commissioner for Innovation. and Technology are official members. The ITC provides secretariat support to the CAIT.

Promotion of Innovation and Technology

Innovation and Technology Fund

The $5 billion Innovation and Technology Fund supports projects that will help promote innovation and technology upgrading of the manufacturing and service industries. By the end of the year, the fund had provided financial support of some $324 million to 140 projects undertaken by industry-support bodies, trade and industry associations, higher-education institutions, professional bodies and locally incorporated companies.

Promoting Technological Entrepreneurship

Major efforts have been made to promote technological entrepreneurship. A $750 million Applied Research Fund was established in March 1998, replacing two previous schemes to provide equity finance for technology ventures in the private sector. In November 1998, private venture capital firms were appointed as managers for the fund. Besides selecting technological ventures for investment, the venture capital firms provide management and networking advice to the investee companies. By the end of the year, $290 million in financial support had been provided to 17 companies through these fund managers.

Applied Science and Technology Research Institute

The Applied Science and Technology Research Institute (ASTRI) will strengthen the mid-stream research capability of Hong Kong's manufacturing and service industries. The Government has set up the Hong Kong Applied Science and Technology Research Institute Co. Ltd. to take up the implementation work. The Innovation and Technology Commission supports the company in setting up the ASTRI organisation and in mapping out its research strategy and agenda. A site in the Science Park has been reserved for a permanent building for the ASTRI.

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